SEVEN MEDIA GROUP(SMG) & COATES HIRE(COA) will be relisted sometime in the future for capitalization purposes(repayment of debt). That should provide a conveniant way for private equity groups KKR and The Carlyle Group to exit their respective positions when and if they want to.
Don't believe me then you may want to view:
http://www.viostream.com/7Network/
Which begs the question why bother doing the scheme at all, which is due to be voted on today(between 10am to 1.30pm) if at some point in the future SNL becomes SMG which might then be totally comprised of just Westrac and any other mining services businesses.
Perhaps there might be other CAT dealers rolled into the (SMG)Westrac stand alone buiness like William Adams,Cavpower and Hastings Deering?
Then that will be a business quite compelling to invest in.
If the Share Scheme proceeds, Seven shareholders will receive one New SGH Share for every Seven Share that they own on the Share Scheme Record Date.
In return for selling WesTrac Group to SGH, ACE will ultimately receive 115,000,000 SGH Shares (less the number of SGH Shares already on issue). This will mean that Mr Kerry Stokes and his associates (referred to as Related Holders in the Scheme Booklet) will increase their ownership of SGH to approximately 67.9%.
SEV Price at posting:
$7.74 Sentiment: None Disclosure: Not Held
